Boersen Farms faces 6th lawsuit in 2 years

Audra Gamble Audra Gamble @SentinelAudra

Friday

Mar 15, 2019 at 10:00 AM

The lawsuit, filed in federal court on March 8, names Dennis, Arlan and Sandra Boersen, claiming they previously agreed in a judgment to pay back a little under $14.9 million in February on a $12.3 million loan from 2014 and 2015.

ZEELAND — For at least the sixth time in recent years, Zeeland-based Boersen Farms is being sued.

Boersen Farms, which grows corn and soybeans on thousands of acres across the Midwest, is being sued by Helena Agri-Enterprises, a Collierville, Tenn., company that describes itself as an "agronomic solutions provider." Helena Agri-Enterprises provides product and financial services to agricultural customers, and is now suing Boersen Farms for just over $15 million for breach of contract.

The lawsuit, filed in federal court on March 8, names Dennis, Arlan and Sandra Boersen, claiming they previously agreed in a judgment to pay back a little under $14.9 million in February on a $12.3 million loan from 2014 and 2015.

Helena Agri-Enterprises claims they still have not received payment from the Boersens, and are taking them back to court.

Boersen Farms has been involved in multiple lawsuits in the past few years, including a 2017 lawsuit for $145 million from one of Boersen Farms' creditors.

CHS Capital sued Boersen Farms for the $145 million in unpaid debts, also claiming the farm said their crop was more valuable than it was. Along with the unpaid debts, Boersen Farms owed CHS Capital 245 pieces of farming equipment. The farm originally sought to file for bankruptcy, but Zeeland Farms Services stepped in and an LLC an entity registered to the CFO at Zeeland Farm Services took on Boersen Farms' debts.

Also in 2017, Boersen Farms was sued by Montsanto Co. for $2.3 million worth of corn and soybean seeds.

In 2018, the local farm was sued by Bank of America for $300,000 in unpaid loans for farming equipment. That same year, a Pennsylvania-based farming equipment company sued Boersen Farms for $268,000 in irrigation equipment.

Last June, Boersen Farms settled a lawsuit with the family of two individuals who died after a crash with a Boersen Farms vehicle for $3 million.

"The Boersen Farming Operation defaulted on obligations owed to numerous creditors leading to multiple lawsuits and judgments entered against various Boersen Farming Operation entities," Helena Agri-Enterprises' attorney wrote in the March 8 complaint.

Boersen Farms owns approximately 83,000 acres of land, which can produce crops valued at about $49.7 million, according to court documents.

Nearly 15,000 acres of land owned by Boersen Farms was put up for sale last year and leased out, according to Michigan Farm News. The property was transferred to CHS Capital and includes the Boersens' home farm and a 1,600-square foot house on the property. In Ottawa County, CHS Capital now owns 14 parcels of land in Zeeland and Blendon, totaling 495 acres. Other property in Allegan County is also being leased by CHS Capital.

The $15 million owed to Helena Agri-Enterprises includes $6.9 million in principal, $714,000 in interest and a $5.4 million loan agreement obligation. The final judgment against Boersen Farms in February included $1.5 million for breach of contract.